An increase in demand and decrease in supply = leads to a price increase. Simple economics!
We know South East Queensland (SEQ) is estimated to grow just under 1.5 million new people over the next 20 years or on average just under 75,000 new residents per annum. This is the demand factor in our simple economic principle.
Which areas will change the most over the next 20 years?
Understanding the supply can give you an idea on how certain regions within SEQ will change over the next 20 years both physically and monetarily. My tip is to follow and understand registrations and approvals. The one to really watch is the Redland council – only 30 minutes from Brisbane and is the least land supplied council this close to the CBD. Brisbane council’s high registrations are the new apartment and townhouse supply – we know it is oversupplied so prices will remain flat or drop whereas the Logan council is going to see some major supply!
Means the number of lots that have had their titles registered – you can build a new house or apartments/townhouses (very important to understand current supply)
Means the number of residential lots approved for development based on permit approvals issued by a council for reconfiguring a lot (important to understand what the future may look like)